Business, general

U.S. studies sale of Hercules unit to Japan

Article Abstract:

The Bush administration is investigating the proposed sale of Hercules Inc's San Jose, CA-based Semi-Gas Systems Inc subsidiary to Nippon Sanso KK with an eye towards possibly blocking the sale on the grounds that the sale might weaken national security. The interagency Committee on Foreign Investment in the United States, which investigates proposed foreign investment in the US that might adversely affect national security, is looking into the proposed company sale. Semi-Gas Systems supplies advanced equipment that route the highly toxic, highly purified gases used in semiconductor manufacturing. Sematech, the government-industry consortium that is one of Semi-Gas's customers, and Bush administration officials fear the sale will only solidify Japan's hold on the industry. The Justice Department may also file its own objections to the merger based on antitrust laws.

Panel recommends creating U.S. body on technology

Article Abstract:

A National Academy of Sciences panel recommends that the US establish a Civilian Technology Corp (CTC) to promote the commercialization of high-technology products. This issue could play a part in the nation's presidential politics as the two parties define their positions on 'industrial policy.' The Bush administration is, generally speaking, against government involvement in industry, but Democrats tend to favor a more activist approach. The CTC proposal comes from a panel headed by former Defense Secretary Harold Brown, who wants to redefine the debate about industrial policy. According to Brown, the notion that the government should avoid picking industrial winners and losers oversimplifies this issue. Brown recommends a $5 billion CTC that would be insulated from political pressures. CTC directors would be appointed by the president and approved by the Senate.

Fading picture: high-definition TV, once a capital idea, wanes in Washington; despite its promise, it riles foes of 'industrial policy,' fails to get much money. A high-tech gift to Japan?

Article Abstract:

High-definition television (HDTV) seemed ready to take off in America as recently as the spring of 1989, but the technology is out of political favor now. It had seemed possible that the US government might work on HDTV together with industry, but HDTV now is in retreat, a victim of political blunders by backers and relentless opposition from top-level Bush administration officials. HDTV symbolizes Bush administration technology strategy: the government will support basic research projects such as the space station of the superconducting supercollider; but the government will not support commercial technologies, believing that such technologies are best left to private investors. Only one large US company - Zenith Electronics Corp - is still in the HDTV race. Much future development of HDTV technology will likely take place in Japan.